Economic Development and Islamic Finance

This book highlights the strong synergies between the current thinking in development economics and an Islamic economic and finance approach to development based on the inherent inclusivity of Islamic financial instruments. It also suggests possible lessons from Islamic economics and finance for policy makers and development economics researchers, and points to ways in which the Islamic economic system approaches the issue of wealth distribution. The book establishes a link between finance and economic development and highlights poverty eradication as the principal objective of an Islamic economic system. It states that therefore institutions providing financial services can play an important role in achieving this goal. It also shows how redistribution elements in the Islamic financial system can be integrated into Islamic inclusive finance to resolve problems of outreach and sustainability, in addition to serving as complementary vehicles for poverty alleviation efforts.